Malita Investments plc - Result of Rights Issue
On 12 April 2024, Malita Investments plc announced the result of the rights issue of up to 65,825,806 new ordinary shares (4 new shares for every 9 shares held) at a price of €0.50 per share. Total subscriptions from eligible shareholders and assignees amounted to 55,486,157 new ordinary shares having a total value of €27.7 million and representing 84.3% of the shares available for subscription. These applications were accepted and allotted in full.
The Company also received applications for 4,612,372 Excess Shares during the offer period split up as follows:
- An amount of 2,000,000 Excess Shares were placed with an institutional investor under a Placement Agreement.
- An amount of 746,072 Excess Shares were applied for by shareholders who had accepted their proportional entitlement in full.
- An amount of 1,866,300 Excess Shares were applied for by applicants through authorised financial intermediaries.
As a result, the Company will be allocating a total of 60,098,529 new ordinary shares, which translates into net proceeds of €29.9 million. Malita explained that it requires approximately €63 million to fund the capital expenditure of the Affordable Housing Project. In this respect, the Company also secured a bank loan of €22 million from the European Investment Bank and is in advanced discussions with financial institutions to obtain the remaining funds required to finish the project.
The new ordinary shares will be listed on the Official List of the Malta Stock Exchange on 19 April 2023 with trading expected to commence on 22 April 2024. Upon the listing of the new shares, the Government of Malta will hold 170,600,536 shares (representing 81.9% of the total issued share capital), whilst the remaining 37,606,057 shares (18.1%) will be held by the general public.